It’s official: Oceânico Developments has acquired the five golf courses owned by Lusotur, which André Jordan still owned in Vilamoura. “The time has come to hand on the baton” André Jordan said with a smile, at a ceremony that was held to mark the sale of the whole of Lusotur Golfes’ capital to the Irish group Oceânico. The Old Course, Pinhal Golf Course, Laguna Golf Course, Millennium Golf Course and finally Victoria Golf Club have all been handed over, with substantial gains for the Jordan family, owners of the company Planfipsa, S.A.

In January, the Algarve Observer reported the firm intention of the Oceânico group to buy Lusotur Golfes, which was partly confirmed by André Jordan. On 15th January when he was confronted with our information, he limited himself to saying that there were three or four proposals from Portuguese and international groups.

In a room full of Portuguese and foreign journalists, as well as other figures from the world of tourism and finance, Gerry Fagan told the Algarve Observer that they had bought the courses for 125 million euros.

Asked by the Algarve Observer about the way in which the investment would be used, Gerry Fagan said that the golf courses had produced net profits of 6 million euros last year alone; he said that this was a good return and that in the future they would be able to create synergies with the other golf courses they own in Silves.

In addition to the five courses they have now acquired in Vilamoura, the Oceânico group – which until now has devoted itself almost entirely to the development of resorts – is constructing two more, at the Amendoeiras Golf Resort in Silves. In addition, Oceanico Developments owns one golf course in Óbidos and two in the Azores.

Hotels and apartments are part of the strategy

The group’s plans include the construction of a resort in Vilamoura, and they have already acquired a 68 hectare plot for this purpose. The project, a mixed construction with 702 units, will be of low density and high quality, and will give future purchasers the right to use the golf courses as part of the acquisition.

In the future, Gerry Fagan told the Algarve Observer that the group might also build luxury hotels. He said that 5-star hotels were a very important factor and they did not discount this possibility. He said that their idea was to renew Vilamoura and put it on the map so as to increase the number of rounds of golf played. He added that the model they were basing themselves on already existed in the USA at the Pinehurst resort in North Carolina.

The CEO of Oceanico Developments also said that Vilamoura had lots to offer: beautiful beaches, an award-winning marina, a casino, hotels, restaurants, bars, and night life to equal that in other places.

The important role of low-cost airlines (including Ryanair, also an Irish company) in bringing more golfers to the region was also stressed, given the proximity of the Algarve to the main points in Europe where golfers come from, Ireland and the UK.

Jordan takes his leave

After having founded Quinta do Lago and after twelve years at the helm of Lusotur which managed the infrastructure and the golf courses in Vilamoura, André Jordan is taking his leave of the management of Vilamoura.

In 2004, he had already sold the real estate company Lusotur Imobiliária to the Spanish group PRASA, with the right to construct and manage 1,650 hectares which make up the Vilamoura resort, as well as the marina with 1000 moorings. Now it is the turn of the golf courses, following a sharp increase in value, with major investments in maintenance and construction of the courses, especially the Victoria course, which is regarded as one of the finest courses in Europe.

André Jordan said that Quinta do Lago had been his first “child”, that it was always special, but that Vilamoura was a major challenge, with the revitalization, renewal and the strong support from the market.

André and his family (his two sons Gilberto and Constantino, are also connected to their father’s businesses) should stay in Portugal given that they now own the Belas Clube de Campo, what Jordan called the biggest metropolitan golf project in all the capitals in Europe. The tourism veteran said he has received requests to make a number of investments, but added that he will take his time to decide where to invest his gains.

The numbers speak volumes

In 2006, a total of 214,000 rounds were played on the five courses now owned by the Oceânico group, showing growth of 11.5% over 2005. An important factor for the three-year period 2007/2008/2009 will be the holding of the Portugal Masters tournament, a competition which promises to bring more than 50,000 spectators to the Algarve to see some of the best players in the world.

The Oceânico group currently employs close to 400 people, and manages a portfolio of properties which have been valued at 2 billion euros.

source: the resident